Working Papers · The Procedural Gap Project
Five papers. One argument.
The same structural failure appears in different places in legal procedure: an expert who cannot be examined, a qualification that cannot be questioned, a silence that cannot be challenged, and a cost that compounds out of control. Each paper identifies a discrete gap, proposes a measurable diagnostic, and builds the case for reform.
Proximity Gap Competence Gap Disclosure Gap Escalation Gap
01 Proximity Gap — Network Proximity Check
Network Proximity and Expert Impartiality: An Empirical Analysis of Academic Network Proximity as a Structural Test for Expert Recusal in European Civil Proceedings
The current recusal mechanism relies on self-declaration and adversarial challenge with no quantitative proximity standard. Applying Erdős-number methodology to co-authorship graphs reveals that an expert at distance 1 from a commissioning party — a proximity shared by ~500 people globally — can pass unchallenged under existing procedure. The paper proposes a formal network proximity threshold as a required component of expert appointment.
d=1
Network Proximity Graph — Figure 1 — Expert witness node (violet) — Commissioning party (amber) Erdős distance 1: a proximity shared by ~500 people globally — passes unchallenged under existing procedure
Published 2026 · Received by Centro de Estudos Judiciários (CEJ)
02 Competence Gap — Expertise Check
Qualification and Expertise: The Detectable Signals of Professional Competence Distance
Courts treat qualification as a proxy for expertise. The two are not the same thing. A credential certifies past education; expertise requires demonstrated performance within a specific technical domain. The paper identifies measurable signals that reveal the gap between formal qualification and actual domain expertise — operationalised as the Specialisation Distance Differential (SDD) — and proposes how those signals can be assessed before an expert is appointed, not after they have already testified.
Competency Radar — Figure 3 — Practitioner profile (SDD score) — Instructing firm profile 5 axes: domain match · technical depth · experiential proximity · capacity fit · jurisdictional alignment
Working paper · 2026
03 Disclosure Gap — Bad Faith Check
The Manufacturing of Bad Faith: Mechanism Design and the Doctrine of the Affected Party
Bad faith is assumed to require intent. This paper argues that procedural law itself can manufacture the structural conditions for bad faith behaviour without deliberate intent — specifically where disclosure obligations are under-specified and silence is explicitly or implicitly protected by the system. Game theory applied to legal procedure shows that under these conditions, silence is the dominant rational strategy for a Passive Party, regardless of their subjective intent. The Bad Faith Manufacturing Score (BFM) operationalises this as a measurable construct derived from the facts of the case, not from inferences about motive.
Working paper · 2026
04 Disclosure Gap — Loaded Gun Analysis
The Doctrine of the Affected Party: The Loaded Gun, the Fiction of Uniformity, and the Gridlock Paradox
A unified doctrine for civil procedure: the party whose concealment of a pre-existing condition (Variable B) transfers liability onto the Active Party through a law that assumes uniform starting conditions. The paper names three structural features present in these cases — the Loaded Gun Law (a liability provision that fires on harm without examining Variable B), the Fiction of Uniformity (the assumption that the affected asset was sound before the Active Party acted), and the Gridlock Paradox (the double-bind in which both proceeding and not proceeding impose material costs on the Active Party from the Passive Party's concealment).
Working paper · 2026
05 The Self-Reporting Fallacy — Dispute Engine
On Legal Bullshit: Frankfurt's Distinction and the Self-Reporting Fallacy in Litigation
Harry Frankfurt drew a distinction the law has never formally used: a liar knows the truth and asserts its opposite, while a bullshitter is indifferent to truth altogether. This paper argues that civil litigation is organised around exactly this blind spot — the Self-Reporting Fallacy — and specifies a three-signal reading position immune to it: competence distance, incentive structure, and whether a filing's own positive factual claims survive contact with its own attachments.
Working paper · SSRN submission draft · June 2026

Paper 01 · Proximity Gap · SSRN #6905898 ↗

Network Proximity and Expert Impartiality:
An Empirical Analysis of Academic Network Proximity as a Structural Test for Expert Recusal in European Civil Proceedings

Steven Carroll  ·  moral.money/steven-carroll  ·  kyc.co/steven-carroll
Published 2026  ·  Correspondence: hello@kyc.co

Abstract

Expert witnesses in civil proceedings are legally required to be independent. The current recusal mechanism relies on self-declaration and adversarial challenge — a slow, qualitative process with no quantitative standard for assessing the network proximity between an expert and the parties they serve.

This paper applies network proximity analysis — using Erdős-number methodology on academic co-authorship and supervisory graphs — to demonstrate that the existing procedural standard is structurally inadequate. In the case study examined, the Azevedo-Henriques relationship places the expert witness at Erdős distance 1 from the commissioning party: a level of proximity held by approximately 500 people globally, indistinguishable from direct collaboration, and automatically within the statutory appearance standard for recusal — yet one that went unchallenged under existing procedure.

The paper proposes a formal network proximity threshold — grounded in scale-free network statistics — as a required component of expert appointment procedure across European civil proceedings.

This paper has been formally received by the Centro de Estudos Judiciários (CEJ), entered into the permanent collection of the Biblioteca Armando Leandro, and will be distributed to its teaching faculty. The CEJ is the institution responsible for the professional training of all judges in Portugal.

Key contributions

  • First application of Erdős-number methodology to expert witness impartiality assessment in civil procedure
  • Empirical demonstration that the Azevedo-Henriques connection constitutes an Erdős 1 relationship — statistically among the rarest academic proximities globally
  • Formal diagnosis of the structural gap in European expert recusal doctrine: no quantitative proximity standard exists
  • Proposed reform framework: a network proximity threshold grounded in scale-free co-authorship network statistics
  • Methodology draws on bipartite graph analysis, small-world network theory, and comparative civil procedure research

Tool

The Network Proximity Check at kyc.co/network-proximity operationalises the methodology of this paper. It computes the Network Proximity Score (NPS, 0–100) from academic co-authorship data, supervisory relationships, and institutional affiliations — producing a quantitative proximity assessment before an expert is appointed, not after they have already testified.

Citation

Carroll, S. (2026). Network Proximity and Expert Impartiality: An Empirical Analysis of Academic Network Proximity as a Structural Test for Expert Recusal in European Civil Proceedings. Working paper. SSRN 6905898. Available at: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=6905898


Paper 02 · Competence Gap

Qualification and Expertise:
The Detectable Signals of Professional Competence Distance

Steven Carroll  ·  moral.money/steven-carroll
Working paper · 2026

Abstract

Legal proceedings treat qualification as a proxy for expertise. The two are not the same thing. A credential certifies that the holder met an educational standard at a past point in time. Expertise requires something different: demonstrated performance in a specific technical domain at a sufficient depth and recency to be relevant to the question at issue.

The gap between formal qualification and actual domain competence — Competence Distance — is not currently a formal object of procedural scrutiny. Courts do not have a methodology for measuring it. The paper identifies the signals that make this gap detectable before testimony: publication distance from the specific technical domain, recency of domain-specific engagement, the ratio of generalist to specialist output in the expert's documented work, and the structure of their prior instruction record.

These signals are operationalised as the Specialisation Distance Differential (SDD) — a scored composite (0–100) that can be computed from publicly available professional data and applied as a pre-appointment screening instrument. A high SDD does not disqualify an expert; it raises a procedural question that the appointment process is currently not equipped to ask.

Key contributions

  • Formal distinction between qualification (credential) and expertise (demonstrated domain performance) as procedurally relevant concepts
  • Identification of measurable Competence Distance signals available before appointment from public professional records
  • The Specialisation Distance Differential (SDD) as a scored screening instrument for pre-appointment assessment
  • Comparative analysis of how qualification-based appointment procedures systematically suppress the Competence Distance question
  • Proposed procedural reform: SDD threshold as a required disclosure item in expert appointment documentation

Tool

The Expertise Check at kyc.co/expertise-check operationalises the SDD methodology. It scores an expert against the specific technical domain at issue in a dispute — producing a competence distance assessment at the moment of evaluation, not after the expert has already been heard.


Paper 03 · Disclosure Gap

The Manufacturing of Bad Faith:
Mechanism Design and the Doctrine of the Affected Party

Steven Carroll  ·  moral.money/steven-carroll
Working paper · 2026

Abstract

Bad faith in legal proceedings is typically treated as an intentional state: a party who conceals, misrepresents, or strategically withholds is assumed to have chosen to do so. The existing legal framework responds by attempting to infer intent from behaviour — a slow, contested, and frequently inconclusive process.

This paper argues that procedural law itself can manufacture the structural conditions for bad faith behaviour without requiring deliberate intent from any individual actor. Specifically, where disclosure obligations are under-specified and silence is explicitly or implicitly protected by the system — through presumption rules, burden-of-proof allocations, or the absence of mandatory Variable B disclosure — the rational dominant strategy for a Passive Party in possession of adverse information is silence.

The paper applies mechanism design to legal procedure. A mechanism that makes silence the dominant strategy for an informed party is a mechanism that manufactures bad faith outcomes regardless of the subjective state of the parties. The Bad Faith Manufacturing Score (BFM) — a composite scored 0–100 — operationalises this observation as a measurable diagnostic derived from the structural features of the case: the nature of Variable B, the silence protection afforded by the applicable law, the asymmetry of information access, and the costs imposed on the Active Party by the Passive Party's rational non-disclosure.

Variable A
The Active Party's activity (works, transaction, process)
Variable B
The pre-existing condition the Passive Party knows about and does not disclose
BFM Score
0–100 structural bad faith probability, class MINIMAL → MANUFACTURED

Key contributions

  • Mechanism design applied to procedural law: silence as a dominant strategy produced by disclosure gap, not by individual malice
  • The Variable A / Variable B framework: distinguishing the Active Party's act from the Passive Party's undisclosed pre-existing condition
  • Bad Faith Manufacturing Score (BFM): a scored diagnostic that measures structural bad faith probability without inferring intent
  • The Affected Party Doctrine: the procedural and remedial implications of a framework in which harm originates in structural silence
  • Cross-domain applicability: the pattern appears identically in construction, product safety, data protection, medical devices, employment, and environmental law

Tool

The Bad Faith Check at kyc.co/bad-faith-check operationalises the BFM methodology across four analytical phases: fact mapping, structural bad faith scoring, forfeiture argument, and Loaded Gun Analysis (the prospective liability exposure created by the Passive Party's concealment — see Paper 04).


Paper 04 · Disclosure Gap — Loaded Gun Extension

The Doctrine of the Affected Party:
The Loaded Gun, the Fiction of Uniformity, and the Gridlock Paradox

Steven Carroll  ·  moral.money/steven-carroll
Working paper · 2026

Abstract

Paper 03 established the mechanism by which procedural silence manufactures bad faith outcomes. This paper identifies what happens next: the moment the Active Party proceeds — or does not proceed — the concealed Variable B detonates a second harm.

The paper proposes and examines three structural features that are present, in different legal domains, wherever a Passive Party's concealment transfers prospective liability onto an Active Party through the ordinary operation of law.

The Loaded Gun Law is a liability provision that fires on harm without ever examining whether the harm originates in a pre-existing condition. The law assigns responsibility by activity. It does not ask whether the affected asset, system, or counterparty was already compromised before the Active Party's act began. In construction: the party who touches the wall bears liability when the wall falls, regardless of its pre-existing structural state. The same pattern appears in product safety, data protection, medical device regulation, environmental liability, and employment law.

The Fiction of Uniformity is the implicit assumption the Loaded Gun Law makes: that the affected asset was in sound, uncompromised condition before the Active Party acted. The law never examines this assumption. It is a fiction embedded in the liability mechanism itself.

The Gridlock Paradox is the double-bind that results. If the Active Party proceeds: the Loaded Gun Law fires when Variable B causes harm, exposing the Active Party to liability they cannot escape. If the Active Party does not proceed: they bear the direct cost of inaction — blocked development, financing refused, litigation burn, lost income. Both paths impose material costs on the Active Party as a direct consequence of the Passive Party's concealment. The Passive Party cannot lose regardless of which path the Active Party chooses.

The Silence Multiplier captures how the Loaded Gun Law amplifies the value of the Passive Party's silence beyond mere non-disclosure: the concealment does not merely avoid a disclosure cost — it pre-loads the entire prospective liability of the Loaded Gun Law onto the Active Party as a contingent financial exposure that grows with every step the Active Party takes.

Loaded Gun Law
Assigns liability by activity — never examines Variable B
Fiction of Uniformity
Assumes the affected asset was sound — a presumption the law never tests
Gridlock Paradox
Proceed = liability exposure. Don't proceed = direct cost. Both paths harm the Active Party
Silence Multiplier
Concealment pre-loads the Loaded Gun's full financial exposure onto the Active Party

Key contributions

  • Identification and naming of the Loaded Gun Law as a structural feature present across multiple legal domains — not a defect of any one provision
  • The Fiction of Uniformity: the untested presumption embedded in liability-by-activity provisions that makes them exploitable by concealment
  • The Gridlock Paradox: formal statement of the double-bind imposed on the Active Party by the Passive Party's rational concealment of Variable B
  • The Silence Multiplier: mechanism by which concealment converts a disclosure obligation into a prospective full liability transfer
  • The Doctrine of the Affected Party: a unified procedural doctrine — the party whose undisclosed pre-existing condition activates a Loaded Gun Law bears the procedural consequence that law would otherwise assign to the Active Party

Tool

Phase IV of the Bad Faith Check at kyc.co/bad-faith-check — the Loaded Gun Analysis — operationalises this paper. It identifies the specific Loaded Gun Law applicable to any domain (construction, product safety, medical devices, data protection, environmental, employment), analyses whether it operates on a Fiction of Uniformity, states the full Gridlock Paradox double-bind, confirms whether both arms impose material costs, and quantifies the Silence Multiplier dynamic. The analysis is domain-agnostic: the tool finds whichever liability provision in whichever jurisdiction assigns responsibility by activity without examining Variable B.

The full programme

These five papers are part of a larger body of work documented at moral.money/legal-innovation/ — The Procedural Gap Project. Four structural gaps in legal procedure. Five academic papers. Four diagnostic tools. One engineering constraint: closing loopholes that benefit bad-faith actors while ensuring the fixes are so tightly engineered they cannot be exploited in reverse.